<<

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM OMB No. 1124-0002; Expires July 31, 2023 U.S. Department of Justice Supplemental Statement Washington, dc 20530 Pursuant to the Foreign Agents Registration Act of 1938, as amended

For 6 Month Penod Ending_____04/30/2021 (Insert date)

I REGISTRANT

1. (a) Name of Registrant (b) Registration Number

China Daily Distribution Corp. 3457

(c) Primary Business Address 1500 Broadway Ste 2800, New York, NY 10036

2. Has there been a change in the information previously furnished in connection with the following? (a) If an individual: (1) Residence address(es) Yes □ No □ (2) Citizenship Yes □ No □ (3) Occupation Yes □ No □ (b) If an organization: (1) Name Yes □ No [x] (2) Ownership or control Yes □ No [x] (3) Branch offices Yes □ No 0 (c) Explain fully all changes, if any, indicated in Items (a) and (b) above.

IF THE REGISTRANT IS AN INDIVIDUAL, OMIT RESPONSES TO ITEMS 3, 4, 5, AND 6. 3. If the registrant previously filed an Exhibit C1, state whether any changes therein have occurred during this 6 month reporting period. Yes □ No IE]

If yes, has the registrant filed an updated Exhibit C? Yes □ No □ If no, please file the updated Exhibit C.

1 The Exhibit C, for which no printed form is provided, consists of a true copy of the charter, articles of incorporation, association, and by laws of a registrant that is an organization. (A waiver of the requirement to file an Exhibit C may be obtained for good cause upon written application to the Assistant Attorney General, National Security Division, U.S. Department of Justice, Washington, DC 20530.) FORM NSD-2 Revised 05/20 Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM (PAGE 2)

4. (a) Have any persons become partners, officers, directors or similar officials during this 6 month reporting period? Yes □ No [x] If yes, furnish the following information: Name Residence Address Citizenship Position Date Assumed

(b) Have any persons ceased acting as partners, officers, directors or similar officials of the registrant during this 6 month reporting period? Yes □ No 0 If yes, furnish the following information: Name Position Date Ceased

5. (a) Has any person named in Item 4(a) rendered services directly in furtherance of the interests of any foreign principal? Yes □ No § If yes, identify each such person and describe the service rendered. Name Foreign Principal(s) Represented Services

(b) During this 6 month reporting period, has the registrant hired as employees or in any other capacity, any persons who rendered or will render services to the registrant directly in furtherance of the interests of any foreign principal(s) in other than a clerical or secretarial, or in a related or similar capacity? Yes □ No 0*3

Name Residence Address Citizenship Position Date Assumed

(c) Have any employees or individuals, who have filed a short form registration statement, terminated their employment or connection with the registrant during this 6 month reporting period? Yes 0 No [x] If yes, furnish the following information: Name Position or Connection Date Terminated

(d) Have any employees or individuals, who have filed a short form registration statement, terminated their connection with any foreign principal during this 6 month reporting period? Yes [2 No [x] If yes, furnish the following information: Name Position or Connection Foreign Principal Date Terminated

6. Have short form registration statements been previously filed by all of the persons named in Items 5(a) and 5(b) of the supplemental statement or submitted with this filing? Yes □ No 0 If no, list names of persons who have not previously filed the required statement or are not submitting a short form with this filing.

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM (PAGE 3) II - FOREIGN PRINCIPAL

7. Has the registrant's connection with any foreign principal(s) ended during this 6 month reporting period? Yes □ No 0 If yes, furnish the following information: Foreign Principal Date of Termination

8. Has the registrant added any new foreign principal(s)2 during this 6 month reporting period? Yes □ No 0

If yes, furnish the following information:

Foreign Principal Date Added

9. In addition to those named in Items 7 and 8, if any, list the foreign principal(s) whom the registrant continued to represent during the 6 month reporting period. Daily

10. (a) Has the registrant filed Exhibits A and B for the newly added foreign principal(s), if any, listed in Item 8? Exhibit A3 Yes □ No □ N/A □ Exhibit B4 Yes □ No □ N/A □ If no, please file the required exhibit.

(b) Have there been any changes in the Exhibits A and B previously filed for any foreign principal(s) whom the registrant represented during this 6 month period? Yes □ No [El If yes, has the registrant filed an amendment to these exhibits? Yes □ No □ If no, please file the required amendment.

2 The tenn "foreign principal" includes, in addition to those defined in Section 1(b) of the Act, an individual organization any of whose activities are directly or indirectly supervised, directed, controlled, financed, or subsidized in whole or in major part by a foreign government, foreign political party, foreign organization or foreign individual. (See Rule 100(a) (9)). A registrant who represents more than one foreign principal is required to list in the statements he files under the Act only those principals for whom he is not entitled to claim exemption under Section 3 of the Act. (See Rule 208.) 3 The Exhibit A, which is filed on Form NSD-3, sets forth the information required to be disclosed concerning each foreign principal. 4 The Exhibit B, which is filed on Form NSD-4, sets forth the information concerning the agreement or understanding between the registrant and the foreign principal.

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM (PAGE 4) III - ACTIVITIES

11. During this 6 month reporting period, has the registrant engaged in any activities for or rendered any services to any foreign principal named in Items 7, 8, or 9 of this statement? Yes [3 No □

If yes, identify each foreign principal and describe in full detail all activities and services: Foreign Principal Activities/Services Foreign Principal: China Daily China Daily Distribution Cor. (DBA China Daily USA) publishes China Daily Global Edition on behalf of China Daily and facilitates the publication of informational and advertorial materials in U.S. media. China Daily USA also produces coverage about the U.S. for publication in China Daily's flagship edition in China.

12. During this 6 month reporting period, has the registrant, on behalf of any foreign principal, engaged in political activity 5 * as defined below? Yes □ No 3

If yes, identify each foreign principal and describe in full detail all such political activity, mdicating, among other thmgs, the relations, interests and policies sought to be influenced and the means employed to achieve this purpose. If the registrant arranged, sponsored or delivered speeches, lectures, social media, internet postings, or media broadcasts, give details as to dates, places of delivery, names of speakers and subject matter. The response must include, but not be limited to, activities involving lobbying, promotion, perception management, public relations, economic development, and preparation and dissemination of informational materials. Set forth below a general description of the registrant's political activities.

Set forth below in the required detail the registrant's political activities. Foreign Prmcipal Date Contact Method Purpose

13. In addition to the above described activities, if any, has the registrant engaged in activity or rendered any services on its own behalf which benefits the registrant's foreign principal(s)? Yes □ No 3

If yes, describe fully.

Foreign Principal Activities/Services

5 "Political activity," as defined in Section l(o) of the Act, means any activity that the person engaging in believes will, or that the person intends to, in any way influence any agency or official of the Government of the or any section of the public within the United States with reference to formulating, adopting or changing the domestic or foreign policies of the United States or with reference to political or public interests, policies, or relations of a government of a foreign country or a foreign political party. Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM (PAGE 5)

IV - FINANCIAL INFORMATION

14 (a) RECEIPTS-MONIES During this 6 month reporting period, has the registrant received from any foreign principal named in Items 7, 8, or 9 of this statement, or from any other source, for or in the interests of any such foreign principal, any contributions, income or money either as compensation or otherwise? Yes 0 No □

If no, please explain why no monies were received.

If yes, set forth below in the required detail and separately for each foreign principal an account of such monies6 Foreign Prmcipal Date Received From Whom Purpose Amount Subtotal

See Attachment Attachment I Item 14 (a) Nov 2020-Apr 2021

Total

(b) RECEIPTS - FUNDRAISING CAMPAIGN During this 6 month reporting period, has the registrant received, as part of a fundraising campaign7 8, any money on behalf of any foreign principal named in Items 7, 8, or 9 of this statement? Yes □ No S If yes, has the registrant previously filed an Exhibit Ds to its registration? Yes □ No □

If yes, indicate the date the Exhibit D was filed. Date

If no, please file the required Exhibit D.

(c) RECEIPTS-THINGS OF VALUE During this 6 month reporting period, has the registraint received any thing of value9 other than money from any foreign principal named in Items 7, 8, or 9 of this statement, or from any other source, for or in the interests of any such foreign principal? Yes 0 No □

If yes, furnish the following information:

Foreign Prmcipal Date Received From Whom Purpose Thmg of Value China Daily Continual China Daily Publication of Exclusive right to distribute China Daily newspaper in the United States

6, 7 A registrant is required to file an Exhibit D if he/she collects or receives contributions, loans, moneys, or other tilings of value for a foreign prmcipal, as part of a fundraising campaign. (See Rule 201(e)). 8 An Exhibit D. for which no printed form is provided, sets forth an account of money collected or received as a result of a fundraising campaign and transmitted for a foreign principal. 9 Things of value include but are not limited to gifts, interest free loans, expense free travel, favored stock purchases, exclusive rights, favored treatment over competitors, "kickbacks." and the like. Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

(PAGE 6)

15. (a) DISBURSEMENTS-MONIES During this 6 month reporting period, has the registrant disbursed or expended monies in connection with activity on behalf of any foreign principal named in Items 7, 8, or 9 of this statement or transmitted monies to any such foreign principal? Yes 0 No □

If no, explain why no disbursements were made.

If yes, set forth below in the required detail and separately for each foreign principal an account of such monies, including monies transmitted, if any, to each foreign principal.

Foreign Prmcipal Date Recipient Purpose Amount Subtotal See Attachment II Item 15(a) Nov 2020-Apr 2021

Total

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

(PAGE 7) (b) DISBURSEMENTS-THINGS OF VALUE During this 6 month reporting period, has the registrant disposed of anything of value10 other than money in furtherance of or in connection with activities on behalf of any foreign principal named in Items 7, 8, or 9 of this statement? Yes □ No EE3 If yes, furnish the following information:

Foreign Prmcipal Date Recipient Purpose Thing of Value

(c) DISBURSEMENTS-POLITICAL CONTRIBUTIONS Durmg this 6 month reporting period, has the registrant (or any short form registrant) from its own funds and on its own behalf either directly or through any other person, made any contributions of money or other things of value11 in connection with an election to any political office, or in connection with any primary election, convention, or caucus held to select candidates for political office?

Yes □ No 0

If yes, furnish the following information:

Date Donor Political Organization/Candidate Method Amount/Thing of Value

10, 11 Tilings of value include but are not limited to gifts, interest fr ee loans, expense free travel, favored stock purchases, exclusive rights, favored treatment over competitors, "kickbacks." and the like.

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

(PAGE 8) V - INFORMATIONAL MATERIALS

16. (a) During this 6 month reporting period, has the registrant prepared, disseminated or caused to be disseminated any 12 informational materials? Yes El No □

(b) If yes, identify each such foreign principal for which informational materials were disseminated and respond to the remaining items m this section. China Daily Activities Performed: 1. Distribution of China Daily newspaper pursuant to an exclusive distribution rights contract. 2. Advertising campaigns in Foreign Policy, Los Angeles Times, and Time Magazine.

17. During this 6 month reporting period, has a budget been established or specified sum of money allocated to finance the registrant's activities in preparing or disseminating informational materials? Yes IEI No □ If yes, identify each such foreign prmcipal, and specify the period of time and the amount. Foreign Principal Period of Time Amount China Daily 11/01/2020-04/30/2021 $5,355,946.57

18. Durmg this 6 month reporting period, has the registrant's activities in preparing, dissemmating or causing the dissemmation of informational materials included the use of any of the following: El Magazine or newspaper □ Advertising campaigns □ Press releases □ Pamphlets or other publications □ Lectures or speeches □ Radio or TV broadcasts □ Motion picture films □ Letters or telegrams □ Email [X] Website URL(s): http://global.chinadaily.com.cn El Social media websites URL(s): See Attachment III Item 18 Nov 2020-Apr 2021 □ Other (specify)

19. During this 6 month reporting period, has the registrant prepared, disseminated, or caused to be disseminated informational materials among any of the following groups: □ Public officials IE1 □ Libraries □ Legislators □ Editors □ Educational institutions □ Government agencies □ Civic groups or associations □ Nationality groups

□ Other (specify)

20. Indicate the language used in the informational materials: El English □ Other (specify)

21. Elas the registrant filed with the FARA Unit, U.S. Department of Justice a copy of each item of such informational materials prepared, disseminated or caused to be disseminated during this 6 month reporting period? Yes 0 No □ If no, please please file the required informational materials.

22. Has the registrant labeled each item of such informational materials with the statement required by Section 4(b) of the Act? Yes [x] No □ 12

12 The teim informational materials includes any oral, visual, graphic, written, or pictorial information or matter of any kind, including that published by means of advertising, books, periodicals, newspapers, lectures, broadcasts, motion pictures, or any means or instrumentality of interstate or foreign commerce or otherwise. Informational materials disseminated by an agent of a foreign principal as part of an activity in itself exempt from registration, or an activity which by itself would not require registration, need not be filed pursuant to Section 4(b) of the Act. Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

(PAGE 9)

VI - EXECUTION

In accordance with 28 U.S.C. § 1746, and subject to the penalties of 18 U.S.C. § 1001 and 22 U.S.C. § 618, the undersigned swears or affirms under penalty of perjury that he/she has read the information set forth in this statement filed pursuant to the Foreign Agents Registration Act of 1938, as amended, 22 U.S.C. § 611 et seq., that he/she is familiar with the contents thereof, and that such contents are in their entirety true and accurate to the best of his/her knowledge and belief.

Date Printed Name Signature13

May 24, 2021 Shengli Zhou /s/ Shengli Zhou eSigned

Sign

Sign

Sign

13 This statement shall be signed by the individual agent, if the registrant is an individual, or by a majority of those partners, officers, directors or persons performing similar functions, if the registrant is an organization, except that the organization can, by power of attorney, authorize one or more individuals to execute this statement on its behalf.

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

Attachment I Applicable to Item 14 (a) RECEIPTS-MONIES For Period 11/01/2020-04/30/2021

Ending 11/30/2020 Ending 12/31/2020 Ending 01/31/2021 Ending 02/28/2021 Ending 03/31/2021 Ending 04/30/2021 Newspaper Subscription Income from Various Customers 5,286.40 3,373.88 4,532.24 3,042.36 1,840.56 12,522.34 30,597.78 Advertisement Income from Various Customers 32,500.00 132,937.88 24,000.00 35,000.00 224,437.88 Fund from Headquarter Office 924,871.67 1,084,682.58 979,664.38 571,963.39 875,611.92 919,152.63 5,355,946.57

Total 962,658.07 1,220,994.34 984,196.62 599,005.75 912,452.48 931,674.97 5,610,982.23

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

Attachment II Applicable to Item 15 (a) DISBURSEMENTS-MONIE For Period 11/01/2020-04/30/2021

Cost of Goods Sold To Whom Purpose Ending 11/30/2020 Ending 12/31/2020 Ending 01/31/2021 Ending 02/28/2021 Ending 03/31/2021 Ending 04/30/2021 Total Los Angeles Times Printing Newspaper-Los Angeles 11,700.00 11,700.00 19,500.00 11,700.00 15,600.00 19,500.00 89,700.00 Bay Area Production Services, LLC Printing Newspaper-San Francisco 36,844.90 43,613.48 37,820.33 25,785.35 43,235.24 54,044.05 241,343.35 The Seattle Times Printing Newspaper -Seattle 7,333.14 7,587.65 12,635.94 7,424.56 10,154.09 12,671.63 57,807.01 Chicago Tribune Printing Newspaper-Chicago 3,945.00 5,258.00 5,256.00 4,047.00 5,244.00 6,555.00 30,305.00 Walton Press, Inc. Printing Newspaper -Atlanta 5,189.28 5,122.73 8,257.80 3,391.90 8,752.74 30,714.45 FNP Printing & Publishing Printing Newspaper-Washington DC 20,422.17 20,422.17 25,914.75 13,923.21 29,903.28 25,371.47 135,957.05 Stellar Printing, Inc. Printing Newspaper- 22,640.00 21,467.00 22,262.00 17,737.00 22,640.00 28,036.00 134,782.00 The Houston Chronicle Printing Newspaper-Houston 9,108.00 6,060.00 15,150.00 9,090.00 12,120.00 15,150.00 66,678.00 The Boston Globe Printing Newspaper-Boston 8,800.65 8,800.65 14,664.79 8,794.73 11,723.84 14,649.25 67,433.91 Hawaii Hochi Ltd. Printing Newspaper-Hawaii 3,541.97 3,863.97 6,439.95 6,439.95 2,253.98 6,439.95 28,979.77 Metroland Media Printing Newspaper-Toronto 6,785.49 6,894.06 11,490.08 6,894.04 9,341.53 11,968.83 53,374.03 Empresa Folha da Manha S.A. Printing Newspaper-Sao Paulo Brazil 8,040.00 8,040.00 13,400.00 8,040.00 10,720.00 13,400.00 61,640.00 Sun Sentinel Company Printing Newspaper-Miami 5,470.36 4,102.77 6,837.95 4,102.77 5,470.36 6,837.95 32,822.16 Total Cost of Goods Sold 149,820.96 152,932.48 199,629.59 123,978.61 181,798.22 223,376.87 1,031,536.73

Operation Expenses Total Los Angeles Times Advertisement Expenses 68,000.00 68,000.00 68,000.00 34,000.00 34,000.00 272,000.00 Foreign Policy Advertisement Expenses 180,000.00 27,000.00 28,000.00 28,000.00 28,000.00 291,000.00 Financial Times Advertisement Expenses 73,297.00 74,570.00 74,570.00 74,570.00 74,570.00 371,577.00 The Globe and Mail Advertisement Expenses 65,927.65 66,863.91 67,908.65 60,116.22 69,082.16 329,898.59 Time USA LLC. Advertisement Expenses 190,000.00 125,000.00 122,500.00 87,500.00 87,500.00 87,500.00 700,000.00 Various Vendors Administration Expenses 11,678.70 51,184.12 7,552.57 3,301.57 12,015.03 9,447.24 95,179.23 Government Agencies Taxes Expenses 11,477.70 115,908.43 15,636.27 17,325.22 19,000.54 12,128.47 191,476.63 Various Employees Payroll Expense 94,303.60 148,403.85 92,409.37 91,592.83 96,646.67 88,590.26 611,946.58 Various Insurance Companies Insurance Expenses 25,438.47 22,268.87 19,293.18 19,295.01 23,212.94 23,852.86 133,361.33 Various Landlords Rent Expenses 52,800.82 53,326.87 53,121.20 53,131.38 53,124.51 52,907.28 318,412.06 Various Employees & Vendors Travel & Transportation 1,981.19 3,284.81 1,032.92 1,135.41 1,260.43 1,381.01 10,075.77 Various Telehpone & Internet Companie Telephone & Internet 5,862.69 9,201.47 4,168.12 3,619.61 4,495.89 4,267.93 31,615.71 Various Delivery Vendors Delivery Expenses 163,421.59 146,360.28 203,493.11 136,555.85 182,497.12 206,827.60 1,039,155.55 Various Utility Companies Utility Expenses 1,576.44 1,964.51 2,181.79 2,413.52 5,459.10 1,505.66 15,101.02 Canada Expenses Overseas Expenses 4,623.40 4,683.85 4,871.76 7,243.53 4,915.02 4,966.22 31,303.78 Various Vendors Marketing Expenses 67,532.54 19,425.00 5,700.00 92,657.54 Total Operation Expenses 770,389.25 1,138,553.51 783,163.94 451,113.93 692,513.47 699,026.69 4,534,760.79

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM

Attachment III Item 18 Nov 2020 - Apr 2021

Social media websites URL(s):

• Facebook accounts China Daily New York, https://www.facebook.com/ChinaDailyNewYork/ China Daily Houston, https://www.facebook.com/ChinaDailvHouston/ China Daily Los Angeles, https://www.facebook.com/ChinaDailyLosAngeles/ China Daily San Francisco, https://www.facebook.com/ChinaDailySanFrancisco/ China Daily Boston, https://www.facebook.com/ChinaDailyBoston/ China Daily Washington DC, https://www.facebook.com/ChinaDailyWashington/ China Daily Seattle, https://www.facebook.com/ChinaDailySeattle/ China Daily Chicago, https://www.facebook.com/ChinaDailyChicago/ China Daily Atlanta, https://www.facebook.com/ChinaDailyAtlanta/

account China Daily USA, https://twitter.com/ChinaDailyUSA

Received by NSD/FARA Registration Unit 05/24/2021 11:17:59 AM